Nokia Plan B shareholders call it quits

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Yesterday we reported on a rebellion that was trying to happen among some of the younger Nokia shareholders. A small group of them did not like the Microsoft-future Nokia CEO Stephen Elop had decided upon for the company, so they formulated a Plan B.

The plan was encouraging for anyone who did not like the idea of Windows on Nokia hardware, or who wanted Nokia to stay an independent and innovating company in both mobile software and hardware.

Unfortunately, after only a couple of days, the Plan B shareholders have decided to call it quits on the idea. Although they had been contacted by lots of independent shareholders showing interest and offering hundreds of thousands of supporting shares, the plan required institutional investors to be on board. As the Nokia Plan B website explains, that just wasn’t possible:

The responses that we received from institutional investors were not encouraging. These institutions have a fiduciary responsibility to their customers and are legally bared from supporting radical initiatives like seating a bunch of kids on the board of directors. If they do not agree with Nokia’s plans, they are better off simply divesting and putting their money in other companies that better fit their investing strategy (which is exactly what they have been doing).

The shareholders also realized that Nokia would be an almost talent-free company by the time their plan was accepted due to everyone of any worth looking elsewhere for a new job. That coupled with the lack of investor support made the plan unworkable.

It was a bold effort on the part of this shareholding group, but it stumbled in the face of market rules and a timescale that made it unworkable. All they can do now is show their lack of faith in the Nokia roadmap by selling their shares and moving on.

What I hope happens is this group stays together and pools resources. It’s not out of the question that a new venture could be formed to create a company in the vision of this Plan B. It would take substantial funding and talent, but it’s possible that already exists in this shareholder team. Alternatively, there may be an existing startup that fits the bill which the money from Nokia share sales can be invested into.

Speak Your Mind

The shareholders also realized that Nokia would be an almost talent-free company by the time their plan was accepted due to everyone of any worth looking elsewhere for a new job

Way to go, Stephen Elop. After all, as some immature Geek-wannabe’s have said- Engineers are all replaceable. We are all just commodities – just like buying a box of soap.

So, all Nokia has to do is hire some ‘more generic engineers’ and they will automatically and magically be a top-tier phone supplier, right?

What Biztards do not understand, is that building any product requires an intimate understanding of not only manufacturing, programming and use-studies – it requires a tight-knit team of multi-disciplined engineers working together. Elop shot that team in the head – so now he has to start from scratch.

http://truedataonline.com baypally

Seriously Guys? Elop is an idiot?

So Nokia was going to compete against the three largest media companies
on the planet and have a prayer? They were just too far behind the curve resting for years on fading market laurels. If anthing, he has balls of iron and just did the one thing that might, just might, save the company. Even that is risky.